DALLAS, Nov. 17, 2014 /CNW/ - Gale Force Petroleum Inc. (TSXV: GFP) (OTCQX: GFPMF) ("Gale Force" or the "Company") today announced that it has sold its 50% working interest in the Thunder Properties in South Texas to the other owner of the properties (the "Buyer"), for $550,000 cash and the restructuring of debts owed to Gale Force by Buyer.
The Company has retained a 3.5% overriding royalty interest in the Thunder Properties, which may be purchased by the Buyer on or before June 1, 2015, subject to the Buyer also fully reimbursing the amounts owing to Gale Force under the secured Note Receivable (described below)
As part of the transaction, the Company also agreed to reduce to $500,000 the amount owing to it by Buyer under a secured Note Receivable. The Note Receivable now has an interest rate of 12% per annum and a maturity date of March 21, 2016.
ABOUT GALE FORCE PETROLEUM INC. − www.GaleForcePetroleum.com
Gale Force Petroleum is a public corporation focused on acquiring and exploiting underdeveloped oil and gas reserves in mature basins, bringing operational expertise and capital to lower-risk, development-type projects. The Company currently owns producing oil and gas properties in Texas, Tennessee and West Virginia.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Gale Force Petroleum Inc.
For further information: Michael P. McLellan, CFA, Chief Executive Officer at +1.888.440.3411.